Nestlé announces exit of its frozen meals and pizza business in Canada

Nestlé made an announcement that it will be discontinuing its frozen meal and pizza business units in Canada. The Swiss food and drink company based in Vevey, Vaud, Switzerland, said that it made the decision as part of its strategic shift in its portfolio.

Nestlé Canada confirmed its exit from the country on Wednesday, Feb. 1. It said that as it slowly withdraws its meals and pizza unit, it will move on to focus on other businesses that support long-term business growth.

As per Grocery Business, the other business categories that Nestlé Canada may focus on are coffee and beverages, confectionery, ice cream, supplements, instant foods, food service, pet food, health science products, and premium waters.

Now, with the exit of the company's frozen meals and pizza business, the brands that will be affected are Life Cuisine, Delission, Lean Cuisine, and Stouffer's. Nestlé said that it does not have a production plant for its frozen or pizza products, so the pullout will be easier.

"Nestlé Canada attributes much of its long-term success to its ability to adapt and evolve within the industry. This decision enables us to further invest in priority categories," Nestlé Canada's president and chief executive officer, John Carmichael, said in a press release.

The Nestlé chief added, "We remain open to enhancing our portfolio where it makes sense for our business. We look forward to continuing to offer Canadians great Nestlé products now, and in the future."

Meanwhile, Nestlé Canada's latest move was said to have been driven by its aim to expand and work more on units that guarantee long-term business growth. The categories were also assessed and selected as they are the types to allow for reinvestments. The food manufacturer will be working with its retail partners to make the exit of the affected brands easier.

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